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III. Question 2 Implementation Task Force Background Background March 17, 2017 Temporary Retail Marijuana Program The Department of Taxation is developing a temporary program to allow for a one-time issuance of licenses to Medical Marijuana Establishment registration certificate holders that are in good standing and operational. Limited to the same license type they currently hold One new license category: Marijuana Distributors; these licenses will only be issued to current licensed liquor wholesalers, currently licensed medical marijuana establishments, and those who currently hold a valid agent card under the Medical Marijuana Program Good until 45 days after permanent regulations are adopted Must apply through permanent license process to maintain license Will piggyback on Medical Marijuana Program’s regulatory and enforcement scheme Timeline: March 29 – Public workshop on draft temporary regulations (T002-17) May 8 – Adoption hearing at Nevada Tax Commission After regulations are adopted – Begin accepting applications July 1 – Start issuing licenses

Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to [email protected] and [email protected]

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Page 1: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

III. Question 2 Implementation Task Force Background

Background March 17, 2017

Temporary Retail Marijuana Program

The Department of Taxation is developing a temporary program to allow for a one-time issuance of licenses to Medical Marijuana Establishment registration certificate holders that are in good standing and operational.

− Limited to the same license type they currently hold − One new license category: Marijuana Distributors;

these licenses will only be issued to current licensed liquor wholesalers, currently licensed medical marijuana establishments, and those who currently hold a valid agent card under the Medical Marijuana Program

− Good until 45 days after permanent regulations are adopted

− Must apply through permanent license process to maintain license

− Will piggyback on Medical Marijuana Program’s regulatory and enforcement scheme

Timeline: • March 29 – Public workshop on draft temporary regulations

(T002-17) • May 8 – Adoption hearing at Nevada Tax Commission • After regulations are adopted – Begin accepting applications • July 1 – Start issuing licenses

Page 2: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

IV. Question 2 Implementation Task Force Guiding Principles

Guiding Principles v. 3.0 March 17, 2017

Task Force Guiding Principles

1. Promote the health, safety, and well-being of Nevada’s communities

2. Be responsive to the needs and issues of consumers, non-consumers, local governments and the industry

3. Ensure that youth are protected from the risks associated with marijuana, including preventing the diversion of marijuana to anyone under the age of 21

4. Propose efficient and effective regulation that is clear and reasonable and not unduly burdensome

5. Begin a discussion between the State and local governments regarding the costs of carrying out Question 2

6. Establish regulations that are clear and practical, so that interactions between law enforcement (at the local, state and federal levels), consumers, and licensees are predictable and understandable

7. Take action that is faithful to the text of Question 2

Page 3: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

2017 MarchMONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY SUNDAY27 28 01 02 03 04 05

Morning: Morning: Morning: Morning:Morning: Task Force Meeting 1

Afternoon: Afternoon: Afternoon: Afternoon:

06 07 08 09 10 11 12

13 14 15 16 17 18 19

20 21 22 23 24 25 26

Morning: Cultivation 1

(10am-12)Labs 1

(8:30-10:30)

Taxation, Revenue, Reg Structure 1 (10am-12)

Production / Manufacturing 1

(11-1pm)

Law Enforcement 1 (3:30-5:30pm)

Transport, Storage,Disposal 1

(12:30-2:30pm)

Retail 1 (1-3pm)

Consumer Safety and Education 1

(2-4pm)

27 28 29 30 31 01 02

Morning: Cultivation 2

(10am-12)Labs 2

(8:30-10:30)

Taxation, Revenue, Reg Structure 2 (10am-12)

Morning: Task Force Meeting 2

Production / Manufacturing 2

(11-1pm)

Law Enforcement 2 (3:30-5:30pm)

Transport, Storage,Disposal 2

(12:30-2:30pm)

Retail 2 (1-3pm)

Consumer Safety and Education 2

(2-4pm)

03 04 Notes:

Working Group Appointments

Public Notice of Working Group Meetings

Page 4: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

2017 AprilMONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY SUNDAY27 28 29 30 31 01 02

03 04 05 06 07 08 09

Morning: Cultivation 3

(10am-12)Labs 3

(8:30-10:30)

Taxation, Revenue, Reg Structure 3 (10am-12)

Consumer Safety and Education 3 (10-12pm)

Production / Manufacturing 3

(11-1pm)

Law Enforcement 3 (3:30-5:30pm)

Transport, Storage,Disposal 3

(12:30-2:30pm)

Retail 3 (1-3pm)

Afternoon:

10 11 12 13 14 15 16

Morning: Cultivation 4

(10am-12)Labs 4

(8:30-10:30)

Taxation, Revenue, Reg Structure 4 (10am-12)

Morning: Task Force Meeting 3

Production / Manufacturing 4

(11-1pm)

Law Enforcement 4 (3:30-5:30pm)

Transport, Storage,Disposal 4

(12:30-2:30pm)

Retail 4 (1-3pm)

Consumer Safety and Education 4

(2-4pm)

17 18 19 20 21 22 23

Morning: Cultivation 5

(10am-12)Labs 5

(8:30-10:30)

Taxation, Revenue, Reg Structure 5 (10am-12)

Morning:

Production / Manufacturing 5

(11-1pm)

Law Enforcement 5 (3:30-5:30pm)

Transport, Storage,Disposal 5

(12:30-2:30pm)

Retail 5 (1-3pm)

Consumer Safety and Education 5

(2-4pm)

24 25 26 27 28 29 30

Morning: Cultivation 6

(10am-12)Labs 6

(8:30-10:30)

Taxation, Revenue, Reg Structure 6 (10am-12)

Morning: Task Force Meeting 4

Production / Manufacturing 6

(11-1pm)

Law Enforcement 6 (3:30-5:30pm)

Transport, Storage,Disposal 6

(12:30-2:30pm)

Retail 6 (1-3pm)

Consumer Safety and Education 6

(2-4pm)

01 02 Notes:

Page 5: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

2017 MayMONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY SUNDAY01 02 03 04 05 06 07

Morning: Cultivation 7

(10am-12)Labs 7

(8:30-10:30)

Taxation, Revenue, Reg Structure 7 (10am-12)

Morning:

Production / Manufacturing 7

(11-1pm)

Law Enforcement 7 (3:30-5:30pm)

Transport, Storage,Disposal 7

(12:30-2:30pm)

Retail 7 (1-3pm)

Consumer Safety and Education 7

(2-4pm)

08 09 10 11 12 13 14Morning: Morning: Morning: Morning:

Morning: Task Force Meeting 5

Afternoon: Afternoon: Afternoon: Afternoon: Afternoon:

15 16 17 18 19 20 21

22 23 24 25 26 27 28Morning: Task Force Meeting 6

29 30 31 01 02 03 04Task Force Report Due

05 06 Notes:

Draft Final Report

Page 6: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

VI. Question 2 Implementation Task Force Ground Rules

Ground Rules March 8, 2017

Task Force Ground Rules

Ground rules help meeting participants establish appropriate ways to interact with each other during the meeting

1. Attend all meetings and be on time

2. Listen and show respect for the opinion of others 3. Follow the agenda and stay on track

4. Ask questions for clarification

5. Ensure that credit is given to those to whom it is due

6. No disruptive side conversations

7. Cell phones off or on silent

Page 7: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

VII. Working Group Recommendation Process

Working Group Recommendation Process v. 4.0 March 17, 2017

1) Working group meets

2) Working group discusses topics and issues and questions for consideration

3) Working group discusses recommendations based on issues and questions

4) Working group chair(s) fills out form for presentation to the Task Force

5) Working group chairs forward completed form to QuantumMark for review

*submit to [email protected] and [email protected] once form is ready for

presentation

6) Working group chairs modify recommendation based on feedback

7) Working group requests presentation time for recommendation to Task Force to QuantumMark

*submit request to [email protected] and [email protected] for

presentation to be added to agenda

*time frame for presentation will be communicated prior to Task Force meeting

8) During Task Force meeting, working group presents recommendation to Task Force

9) Working group receives feedback on recommendation

10) Based on feedback, recommendation is either approved for the final report or modifications will

be requested

11) If modification is requested, working group modifies recommendation

12) Working group presents modified recommendation to Task Force

13) Final draft report is completed and sent to Task Force members

14) Task Force provides feedback to final report

15) Final report completed

Page 8: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

VIII. Working Group Presentation to the Task Force Form

Working Group Presentation to the Task Force Form v. 4.0 March 17, 2017

1. Working group name:

2. Individual sponsor(s):

3. Describe the recommendation:

4. Which guiding principle(s) does this recommendation support?

5. What provision(s) of Question 2 does this recommendation apply to?

6. What issue(s) does the recommendation resolve?

7. Was there dissent in the group regarding this recommendation? If yes, please provide a

summary of the dissenting opinion regarding the recommendation.

8. What action(s) will be necessary to adopt the recommendation? Will statute, policy,

regulations, etc. need to be addressed?

9. Additional information (cost of implementation, priority according to the recommendations,

etc).

*Submit to [email protected] and [email protected] when completed and ready for

presentation to the Task Force

Page 9: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

IX. Working Group Topics

Working Group Topics March 17, 2017

Working Group Suggested Topics

Law Enforcement

State and Local

DUID

ARIDE training

Preventing distribution to minors

Consequences 18-20 years old

Consequences for juvenile possession

Personal transport of marijuana

Open and public consumption

Local civil offenses

Preventing the diversion to other States

Preventing violence and the use of firearms in the cultivation and distribution of marijuana

Amend current laws regarding possession of drug paraphernalia, marijuana and cultivation Need for new statutes for time, place and manner restrictions for consumption, including conforming to existing non-smoking laws

Possession of marijuana in correctional facilities

Operations - Retail Establishment

Dual use medical and retail

Personnel

Security

Tracking sales

Tracking inventory

Purchase by residents Purchase by visitors Ownership interest Local government involvement Vending machines

Operations - Cultivators

Cultivating standards

Handling standards

Tracking inventory

Pesticides Dual use cultivating and manufacturing Ownership interest Local government involvement

Home cultivation

Advisory group

Page 10: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

IX. Working Group Topics

Working Group Topics March 17, 2017

Working Group Suggested Topics

Operations - Production/ Manufacturing

Dual use cultivating and manufacturing Tracking inventory Packaging requirements Ownership interest Local government involvement Training requirements Home production Inspection requirements

Operations - Lab

Operations practices Accreditation Tracking inventory Sample sizes for testing and retention Ownership interest Local government involvement Advisory group

Transport, Storage, Disposal

Commercial transportation and storage Application process Ownership interest Local jurisdiction involvement Public health and safety Disposal of marijuana, products, waste Environmental industry impacts Delivery

Taxation / Revenue/ Regulatory Structure

Tax clarification Sales tax Wholesale tax Business licensing Licensing requirements (residency, ownership interest, suitability requirements for licensees, responsible retailers program) Single marijuana enforcement Financing plan Operating fees Regulatory organizational structure Inspections Penalties for noncompliance to regulations

Page 11: Temporary Retail Marijuana Program · 7) Working group requests presentation time for recommendation to Task Force to QuantumMark *submit request to kelly@quantummark.com and mkretch@quantummark.com

IX. Working Group Topics

Working Group Topics March 17, 2017

Working Group Suggested Topics

Consumer Safety, Education and Health

Signage, marketing and advertising, restrictions on advertising and display Packaging, labeling, potency labeling, labeling requirements

Additives

Adulterants (nicotine/alcohol)

Education for professionals and the public

Education for public

Studies of medical and recreational use of marijuana Oversight Health and safety standards for the manufacture/production and cultivation Preventing drugged driving and the exacerbation of other adverse public health consequences Education on long term health effects of marijuana use and harmful effects for those under 18 years of age Preventing marijuana possession or use on federal property Reconciliation of Nevada and federal laws to prevent prosecution The effect of the Act on employers, employees and the Nevada economy